Category Archives: oud

Apple Supplier Broadcom: ‘Multiple Ways To Win’ On iPhone 7 Gains

Apple ( AAPL ) supplier Broadcom ( AVGO ) likely gained another 20% in iPhone 7 content on top of continued increases in Samsung Galaxy smartphones, giving investors “multiple ways to win,” Credit Suisse analyst John Pitzer said Thursday. Broadcom is slated to report Q2 earnings on June 2 after the market close. Pitzer expects in-line Q2 sales, but he sees a “significant EPS cushion” on cost-cutting and synergies related to Broadcom’s merger with the former Avago. In February, Avago completed its $37 billion acquisition of Broadcom, with the merged company taking the Broadcom name, in a deal the companies said gives the combined entity an enterprise value of $77 billion. For Q2, the consensus of 30 analysts polled by Thomson Reuters expects Broadcom to report $3.55 billion in sales and $2.38 earnings per share minus items, up 116% and 12%, respectively, vs. the year-earlier quarter. On Wednesday, fellow Apple supplier Analog Devices ( ADI ) reported year-over-year sales declines for fiscal Q2 and guided to another 5% sales dip for its July quarter. Pitzer expects Broadcom’s July-quarter sales view to likewise disappoint. But, like Analog Devices, Broadcom expects to grow its iPhone 7 content . Three months ago, CEO Hock Tan said Broadcom’s radio-frequency (RF) content in smartphones has increased by 20% every year, and that this year will be no exception. Tan’s view came before Apple reported its first-ever decline in iPhone sales, occurring in the March quarter. Pitzer sees Broadcom guiding to $3.39 billion in fiscal Q3 sales, below the consensus view for $3.72 billion. But he boosted his EPS-minus-items view to $2.64 from $2.51, matching the consensus model. For 2016 and 2017, he expects $11.16 and $12.86 EPS ex items, respectively. Wireless sales — including sales to Apple — have declined to 25% of total revenue from 50%. Less volatile data center sales now account for half of Broadcom’s revenue, he wrote. “Broadcom’s portfolio of businesses is significantly dampening the impact of any single headwind,” he wrote in a research report. “Broadcom can weather ‘isolated storms’ while maintaining the integrity of EPS upside.” Pitzer reiterated an outperform rating and a 180 price target on Broadcom stock. Broadcom shares were down 1%, near 142, in afternoon trading on the stock market today . RF rivals Skyworks Solutions ( SWKS ) and Qorvo ( QRVO ) were down a respective 1.4% and 0.4%. The trio fell amid fresh reports examining the effect slowing smartphone sales will have on chipmakers.

Amazon In Trouble? How Google Aims To Outsmart Alexa With Home

Loading the player… Alphabet ( GOOGL )-owned Google has unveiled its Google Home device, a virtual assistant designed to answer questions and complete tasks, geared to take on the increasingly popular Amazon ( AMZN ) Echo. The Google assistant made its debut at Alphabet’s developer conference Wednesday, after Consumer Intelligence Research Partners said last month that Amazon sold 3 million $180 Echo devices in less than two years on the market. Google is trying to position Home as a device with even more artificial intelligence capabilities, with the help of its own search platform built into the device. Google Home can change colors, and the company says it also has a learning algorithm to keep conversations going and get to know you better over time. The speaker won’t be released until the fall, and the company has yet to share a price tag. Fire TV Stick Vs. Chromecast But can Home overtake Echo? If we look at two other competing devices from the companies, the Amazon Fire TV Stick and Google Chromecast, the two were virtually tied with 22% of streaming media player sales in 2015, according to a Parks Associates report out Tuesday. The Apple ( AAPL ) TV, which captured 20% of sales last year, is Apple’s closest thing to a virtual assistant, with Siri voice commands. Amazon, Google and Apple aren’t the only ones focusing on making “smarter” products. Facebook ( FB ) has been testing a virtual assistant named M built into its Messenger app. And Microsoft ( MSFT ) recently unveiled a “Magic Mirror,” which uses facial recognition to determine your mood and which can display the weather, time, news and more. Chart Analysis Amazon breached its 10-day line Thursday morning after finding support there on Wednesday, but was little changed by the afternoon. Shares are 3% below their recent high and extended about 16% past a cup-with-handle buy point cleared a little over a month ago. Alphabet is breaching support at its 200-day line, falling 1%. Shares are 11% below their February peak and 8% below a cup-with-handle buy point from which the stock tried to break out before earnings. Apple is 29% below its all-time high reached over a year ago. Shares have suffered severe technical damage over that time and were dropping 0.5% Thursday. Facebook is dropping back below buy range from a cup-with-handle base buy point that it broke out of after an estimate-beating quarterly earnings report, slumping 0.7%. The stock is 3% below its recent high. Microsoft is dropping 1.2% after hitting resistance at the 200-day line on Wednesday. The stock is 11% below its December peak.

Exclusive Q&A: Football Star Patrick Willis Now Tackling Technology

Former San Francisco 49er Patrick Willis has been called one of the two greatest linebackers in the history of the NFL. Before he retired from football in early 2015 amid a mounting list of injuries, Willis tallied 950 tackles, sacked 20 quarterbacks and even scored a pair of touchdowns. He played in seven Pro Bowls and was a first-team All-Pro five times. And, at 242 pounds, he could run the 40-yard dash in 4.56 seconds. So, to say he stands out at San Jose, Calif.-headquartered Open Source Software would be an understatement. Privately-owned Open Source Storage was founded 22 years ago with CEO Eren Niazi’s vision of a world run on commodity hardware and open source software. Open Source Storage counts Facebook ( FB ), Shutterfly ( SFLY ) and the U.S. Army among its clients. The company says it has helped more than 200 enterprise customers deploy cloud-storage solutions. After hanging up his cleats, a series of serendipitous events led 31-year-old Willis to Niazi and Open Source Storage. The more he read up on the company, Willis told IBD, the more excited he became about Open Source Storage and its potential. A year after signing on to his new field, this former NFL heavy-hitter is still tackling — now, it’s just new partnerships instead of opponents. IBD recently spoke with Willis and Niazi. IBD : What’s your role is with the company? Willis : My role with Open Source Storage is (executive vice president) of cloud partnerships. I do the interviews, and really that’s so I can help cultivate a positive environment, something we can give back to the community and to the world. I’ve been enjoying it each day. IBD : What’s your vision for Open Source Storage? Niazi : Open Source Storage is something I thought of over 25 years ago. I was a teenage boy and I bought the domain name. I had a vision for the world running on commodity hardware with open source software. Really, the client benefits. On average, it’s 50% faster, it’s 50% cheaper and it’s 50% lower total cost of ownership. We were a very large company from the early days. We built Facebook, Shutterfly,  (early social network) Friendster, the U.S. Army — so we have quite the track record in doing large, enterprise deployments using commodity hardware and open source software. IBD : Patrick, how did you become involved with the company? Willis : It was kind of a transition. I was getting ready to retire and in my mind (I thought), “I’m just going to retire and chill for a while.” I’d spent my whole life focused on becoming what I had become, an NFL player. I just wanted to rest. During that time, I just happened to bump into the creator of this whole thing. We just happened to be talking and the more I listened to him the more I had respect for his vision. And I thought, “I want to be a part of this.” I’m a very passionate person and I don’t do anything unless it has my attention in a strong way. The more I read about Open Source Storage, I got excited and I thought, “I’m not 100% sure, but my gut is telling me this is a very valuable company.” When I say valuable, I don’t mean from a financial standpoint, I mean from the way it stood out in my mind. That’s what life is all about: When you get intrigued about something, following it. IBD : Do you have a technology background? Willis : No, ma’am. No technology background. Things happened at the right moment and I took advantage of it. The opportunities are always around us, but the great ones only come around once every so often. When the great ones are there, you take advantage of it. IBD : How was the transition from the NFL to tech? Willis : It’s better to look at someone else and be able to say, “You can do that. I’ve done it myself.” That’s how I look at things in life. The transition has been amazing. I’m a spiritual person and it just feels right. Really, it’s just having the will to want to and having the faith that you’re doing the right thing. And I truly feel I am. I look forward to work each day, can’t wait for the weekends to go by. IBD : What are the differences between leading an NFL team and leading a tech team in Silicon Valley? Willis : Really, it’s just like anything. I didn’t get to where I was — I was fortunate enough to play eight years in the NFL — without growing to understand the game and the people. They always say when you come in as an athlete, your athletic ability is far, far beyond your knowledge of the game. But at some point in time, your knowledge catches up to your athletic ability. For me, I just felt like I’d gotten to the point my knowledge and athletic ability were about the same. So part of my knowledge was starting to overcome my athletic ability. I just knew it was time for a change. So now with Open Source, I bring my knowledge with knowing how to work with people. Everyone is different and we all have what makes us special, and I just try to pay attention to those things. IBD : What’s your long-term goal for Open Source and working in Silicon Valley? Willis : I’m a firm believer that we were born to create and I truly feel like that’s my whole thing. In order for me to say, “I’m ready for one chapter to end and start another one,” it takes change, but also to create that passion all over again. I’m really excited every day I come in. I feel like I’m more excited to come in and be doing this than I was playing football, as much as I enjoyed it. I feel like I’m in the right place at the right time in the right moment. IBD : What’s your message for kids as a role model? Willis : I’m a big believer in dreams and that’s where it all started for me as a young kid. I was a dreamer and not only was I a dreamer, I believed if I dreamed it, I dreamed it for a reason. I feel like Open Source Storage allows you to bring your dreams to life. I’m here to tell you — whether you’re a kid or an adult — if you have a dream, dream it. If I had listened to people say, “Don’t do this,” or “Only certain people can do that,” I wouldn’t be where I am today. IBD : Do you have a prediction for the 49ers this upcoming season? Willis : I just wish them well.